CalPERS Seeks High-Yield Manager Contract
Renewal

May 6, 2003 (PLANSPONSOR.com) - California Public
Employees' Retirement System (CalPERS) is asking its Board of
Directors to renew contracts for the five outside companies
that manage $1.2 billion of its high-yield fixed-income
assets.

The five managers were placed under their current
contracts in February 2002. As of the end of the
month:

ING managed $221.9 million

Nomura managed $236.4 million

Pimco managed $230.4 million

Shenkman managed $231.7 million

Highland Capital Management managed $172.2
million

Highland Capital Distressed Fund managed $93.3
million.

CalPERS says the objective of its high-yield
fixed-income program is to provide diversified exposure to
the high-yield market and that a goal of the external
managers is to outperform the Salomon Smith Barney Cash Pay
High Yield Index.
The board of the $130-billion pension fund will vote
on the request next week.